The Los Angeles Department of Water and Power’s proposed electricity rate increases are “just and reasonable” and should be approved by the agency’s board, a ratepayer advocate said Friday in a report.
The report issued by the Office of Public Accountability, led by Ratepayer Advocate Fred Pickel, also noted that the 21 percent average increase over the next five years — or an average 3.86 percent increase annually — is “less than what is needed” and the utility’s power system “will continue to be challenged to perform activities at planned levels.”
A typical, single-family home that uses 500 kilowatt-hours per month — putting them in “zone 1” — could see a $12 increase on their monthly bills after five years of increases, the OPA said. Monthly bills for such households would rise from the $76-$78 range to between $80 and $82 after one year, and eventually going up to about $90 per month after five years, according to the report.
The rate hikes would mean that LADWP power revenue would eventually grow to $4.22 billion in fiscal year 2019-2020, up from $3.45 billion in fiscal year 2014-2015, according to the OPA’s report.View Article